United Arab Emirates rebar traders experienced a 15-20% monthly decline in rebar sales volumes in March, amid Ramadan and the Eid Al Fitr holiday, leading to increased inventory levels and a focus on optimising stocks.

Towards the end of last week, the benchmark mill offered spot sales enabling its distributors to lower their average rebar purchase prices in April close to AED 2,400/tonne ($653/t) delivered after deducting all MoU discounts and rebates. However, this did not attract all rebar distributors to book additional quantities, Kallanish notes.

Meanwhile, secondary mills, including the Omani major, continue their April sales campaign, with their prices prevailing at AED 2,250-2,275/t delivered against LC 90 days.

Local rebar market activity resumed fully on 7 April, with retail quotes remaining the same as last week, averaging AED 2,440-2,450/t for benchmark mill material and AED 2,320-2,330/t for secondary mill rebar on a credit and delivered basis.

Rebar offtake by contractors was promising during the day, encouraging traders to maintain current retail prices.

Ex-China SAE1006/1008 6.5-11mm wire rod offers are heard at around $520/t cfr Jebel Ali, excluding 5% import duty, for June shipment. In March, local wire rod deals concluded at an average of $570-580/t delivered against LC 90 days.

"On the 23rd of April, only two weeks from now, May rebar prices are expected to be announced by the benchmark mill, so traders are looking for less rebar purchases in April as there is a carryover from the previous month due to 15-20% lower sales during Ramadan and one week of April missing due to the Eid Al Fitr holiday," comments a reputable source.